FundingShield shared its Q2 2020 wire and title fraud analytics, noting that lenders should safeguard their workflows from an epidemic rise in wire and title fraud as risk and compliance are further exacerbated by the rise in working from home.
FundingShield CEO Ike Suri shared the Q2 analytics in a release, stating, “The risk of wire and title fraud in the closing and settlement space continues to grow due to fast-moving changes in closing practices, work-from-home and more due to COVID-19.”
Suri said FundingShield saw an alarming increase in fraud/risk exposure from the first quarter to the second quarter in closing protection letter (CPL) errors/issues of nearly 50 percent, a 530 percent increase in CPL/agent validation errors with title insurers and nearly 135 percent increase in state licensing issues.
“These market vulnerabilities have created a perfect storm for fraudsters,” Suri said. “FundingShield helps prevent, identify and resolve these inefficiencies, threats and exposures in a timely manner so lenders can run their businesses without interruptions, reputational nightmares and/or losses.”